FY24 FINANCIAL RESULTS
| Revenue: |
$272.1 million |
EBITDA: |
$34.5 million |
| PBT: |
$31.8 million |
Interim dividend: |
10.0 cps (fully franked) |
| Cash: |
$111.8 million |
Net cashflows from operating activities: |
$56.1 million |
GR Engineering Services Limited (ASX:GNG) (GR Engineering or the Group) today announces its financial results for the half year ended 31 December 2024 (HY25).
Overview
GR Engineering reported HY25 revenue of $272.1 million (HY24: $187.3 million) and EBITDA of $34.5 million (HY24: $22.6 million). During HY25, project execution levels remained high across the Group with major project work continuing into the second half of FY25 and FY26. The Group’s EBITDA margin percentage is consistent with prior periods.
Commenting on the Company’s HY25 financial performance, GR Engineering’s Managing Director, Mr Tony Patrizi, said:
“The HY25 period was characterised by solid operational performance across the Group.
Engineering, design and construction works are continuing on key projects including the Mungari Future Growth Project, Kainantu Gold Project and the Woodlawn Restart Project. Subsequent to 31 December 2024, GR Engineering was awarded the King of the Hills Operations Stage 1 Upgrade Project. GR Engineering is currently involved in ongoing early contractor work and a high volume of studies across a broad range of commodities and geographies.
GR Production Services (GRPS) achieved revenue contributions primarily through the provision of operations and maintenance services to the energy sector. GRPS has been able to successfully increase its revenue and earnings visibility based on contract extensions awarded during the half year period including the Santos Cooper Basin and Surat Basin extensions.
Mipac and Paradigm are leading providers of control systems, operational technology and engineering services in the mineral processing, iron ore and energy sectors. The process controls business continued to deliver control systems, automation and digital solutions for key repeat clients such as First Quantum, BHP, Rio Tinto, Glencore Technology, Ok Tedi and other smaller conglomerates.
The Group’s contracted and near term pipeline across the business is solid and is continuing to grow.
During HY25, net cashflows from operating activities was $56.1 million which resulted in a cash balance of $111.8 million at 31 December 2024. The higher cash generation, nil borrowings, low capital intensity and excellent project delivery all contributed to the maintenance of a robust and stable balance sheet.
I would like to take this opportunity to thank all our employees, clients, sub-contractors and suppliers for their efforts, support and focus on safety and schedule across the Group.”
Given the solid balance sheet position, strong cash generation, orderbook and pipeline of project opportunities, the Board has resolved to increase the interim fully franked dividend to 10.0 cents (HY24: 9.0 cents per share, fully franked).
Read the full ASX Media Release
Read the GRES Half-Year Consolidated Annual Report December 2024
About GR Engineering
GR Engineering specialises in providing fixed price engineering design and construction services to the global resources and mineral processing industries. GR Engineering has a proven track record of delivering integrated project solutions in over 20 countries across all major commodity types. As a group, GR Engineering employs more than 500 professional, technical and support staff throughout Australia and internationally, in addition to a direct construction workforce and subcontracted personnel.
GR Engineering Services Limited is listed on the Australian Securities Exchange (ASX: GNG).
For further information please contact:
Tony Patrizi
Managing Director
+61 8 6272 6000
tony.patrizi@gres.com.au
Omesh Motiwalla
CFO & Company Secretary
+61 8 6272 6000
omesh.motiwalla@gres.com.au
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